4 ms·
if this is based on public record, how come it is only exposed now
by ptah 7y ago
if this is based on public record, how come it is only exposed now
- rtb 7y agoThere are two economists – one young and one old – walking down the street together. The young economist looks down and sees a $20 bill on the street and says, “Hey, look a twenty-dollar bill!” Without even looking, his older and wiser colleague replies, “Nonsense. If there had been a twenty-dollar lying on the street, someone would have already picked it up by now.”
- SpicyLemonZest 7y agoLibor manipulation was on the public record years before the scandal blew up. Exposing anything but dirt-simple financial fraud is hard, even to people who know all the facts.
- Scoundreller 7y agoLibor was always a joke. If you’re looking for a loan, why would you care what the average rate is between a number of providers? You’re going to take the lowest rate, right? And then why would you throw out the lowest and highest values? One of those is the most competitive rates! It also didn’t say anything about depth of market. A bank may have loaned you $1 at a low rate, but maybe not any more than that. And then it was all self-reported, not based on market.
- derivagral 7y agoAmusingly(?..) LIBOR-style manipulation still exists in other markets! https://www.bloomberg.com/opinion/articles/2018-02-01/was-chicken-libor-manipulated-too https://www.bloomberg.com/opinion/articles/2018-02-01/was-ch... Strange to think that incentives like this are/were considered the best solution and can last so long.
- kaesar14 7y agoMalcolm Gladwell has a great piece about how all the information needed to piece together Enron's fraud was always available in public records. Worth a read. https://www.newyorker.com/magazine/2007/01/08/open-secrets-3 https://www.newyorker.com/magazine/2007/01/08/open-secrets-3